Question

Betty Bloome died on February 28, 20X5. The following trial balance was prepared by the executor of Betty's estate as of October 31, 20X5:

	As to Principal		As to Income
Cash--Principal	$ 75,000
Cash--Income			$21,000
Corporation Stock	150,000
Assets Subsequently
Discovered.		$ 17,000
Loss on Realization of
Principal Assets	3,000
Funeral and Administrative
Expense	9,000
Debts of Decedent Paid	14,000
Legacies Distributed	20,000
Devises Distributed	10,000
Estate Principal		264,000
Expenses Chargeable
Against Income			$ 2,000
Distributions to Income
Beneficiaries			7,000
Estate Income				30,000
	$281,000	$281,000	$30,000	$30,000

Required:

Prepare a charge and discharge statement as of December 31, 20X5.

Answer 1

Answer:

We have to prepare a charge and discharge statement as of December 31, 20X5.

Particulars	calculations	Amount($)
I charged myself for
Estate principal		264,000
Assets subsequently discover		17,000
Total charges	264,000+17,000=281,000	281,000
I credit myself for
Loss on realization of principal assets		3,000
Funeral and administrative		9,000
Debs of decedent paid		14,000
Legacies distributed		20,000
Devises distributed		10,000
Total credit	3,000+9,000+14,000+20,000+10,000=56,000	56,000
Balance as to estate income consists of Cash income		21,000